Although a bit boxy looking, the Hongguang Mini EV, a joint venture between General Motors and China's state-owned SAIC, is selling incredibly well. In fact, SAIC-GM-Wuling's product currently outsells the world's best-selling electric car in China, the Tesla Model 3, by almost two to one.

There are several reasons for its huge popularity, but price is almost certainly the main one: an 8% price cut in October brought the Tesla Model 3 to 249,900 yuan (about $36,800), but you can still buy eight 28,880 yuan ($4,500) Hong Guang Mini EVs for that price! . Or seven if you go the extra mile and choose the $5,000 version with air conditioning.

Naturally, at this price, some compromises must be made. The manufacturer claims that it can seat four people, but it is unlikely that they will ride comfortably.

In terms of specs, the Hong Kong Mini EV is also far behind more expensive electric cars: with a 9.2 kWh battery, it has a range of 75 miles before needing a recharge, and its 17.4 hp motor gives it a top speed of 62 mph. For reference, the Model 3 has a range of 263 miles and a top speed of 130 mph.

Clearly, however, not everyone needs it. Especially if the buyer is simply looking for an inexpensive way to get from A to B in an urban environment with plenty of charging points. SAIC-GM-Wuling markets the car as "people's commuting tool."

The Hong Guang Mini EV is a China-only electric car for now, but that will soon change as Wuling has already announced plans to export the Hong Guang Mini EV to other markets. However, there are several reasons why it may not be as big a hit outside of the country.

First, as the BBC points out, one reason it sold so well may have less to do with the car itself and more to do with bureaucracy. In an effort to encourage the spread of electric vehicles, the Chinese government guarantees a free license plate for every EV sold. This may not sound like a big deal, but since it can take months or even years to get a regular car license plate in large cities, cheap EVs are a very attractive shortcut.

Obviously, this incentive would have little impact outside of China, but there is another reason it does not seem so attractive. A Latvian company is selling a car based on this design in Europe called the Darts Freze Niklov, but with more stringent environmental requirements, the selling price is said to be around $12,000. While still competitive with Tesla's price, it is far from an impulse purchase price in China.